IRS notice 3219C for Recovery Rebate Credit

[uk-archie]

Hello!

I live and work in the UK, and have been filing with TurboTax for several years. For the 2020 return I claimed RRC (Recovery Rebate Credit) of $1800 as per RRC Worksheet (done by TurboTax). The IRS remitted $1400 in October 2021. The other day I received a 3219C "Notice of Deficiency". The gist is this:

Change reason

And then they did some arithmetics:

Tax arithmetics

Could anyone interpret the meaning behind this. I can't find reason in a few things:

(A) In the calculations there's -800 of "Changes" for 1,800 "Refundable Credits". Why isn't then 1,000 the "As Corrected" value?

(B) In the "Reasons for the changes", IRS says "Because we adjusted your wages, we also adjusted your refundable credits." But the "Wages" line in the table clearly shows no wage adjustment - 0 for "Changes", and the value for "As Corrected" is the same as the one under "Per Return". What wage adjustments is the IRS talking about?

(C) As previously mentioned, how come the IRS things they gave me $1,800, when I got only $1,400 remitted in my account?

(D) I am considering disputing these IRS claims. But what information are they missing that triggered this notice? "Since our records don't show the amounts you reported" hints at them not having my income, or not trusting what I reported on the 1040. I am filing foreign earned income (form 2555) as a bona fide tax resident living in the UK. So do I submit a UK tax form? What documents should I present to dispute the notice? Or was a mistake made on my return?

I checked my RRC eligibility multiple times, and nothing in the notice points to an eligibility issue.

Also, the IRS notice index doesn't have the 3219C. (It has CP3219A and CP3219N).

Any insights and suggestions would be much appreciated.

Cheers!

[ErnieS0]

You received the notice because your reported wages do not match IRS records since you did not get a Form W-2.

If you purchased Audit Defense contact TaxAudit.com.

See TurboTax Audit Support Center.

If you do not have Audit Defense, call the number listed on the notice and explain your situation. Most likely, you’ll just have to send the IRS proof of your foreign income.

As for your other questions, someone would have to look at your return to make sense of them. IRS can explain the changes when you contact them.